Colden Eres manufactures one of the components and to main comery Product Specialty Products, Inc. has offered to make the component at a cost of t2 40 per unit Colden Entries current costi $15.00 per unt of the component based on the 10,000 components at Colden Eropres curtery produces Read the moment This current com per based on the following action im (Cik conto wewe information None of Color Enterproof ww wie imited it the component is outsourced However, there capacity could be ved to build a new product. This new product would be spected to generate $35.000 contribution margin per year Requirement 1. Colden Enterprises outsources the marutucturing of the comparan, will opening income areas or decrease? By how much? (inter a ver for any zaro belanoma Ure a minua tign of parents in the burante esterne Make Outsource Component Component Difference Incremental Analysis Outsourcing Decision Variable Pued cost Total cost of 80.000 COMO La Promoter product cool It Oolten Eres the manufacturing of the montering income will by Requirement 2. What is the main price per ont Colden Enterprises would be willing to say it outsources the componen begin by identifying the bottom that is sed to determine the nating content Costing 10.000 con Cost outsourcing 30.000 Using the basis for you determined above solve for menderart Outsourcing Coat per unit (Round your the contexxx The menu prie per unit Corten Enterprises would be wieg to yours the componente - Requirements 1. If Colden Enterprises outsources the manufacturing of the component, will operating income increase or decrease? By how much? 2. What is the maximum price per unit Colden Enterprises would be willing to pay if it outsources the component? Print Done st se LLL DI Data table -Xta 4.25 unit 6.25 Direct material per unit $ Direct labor per Variable manufacturing overhead per unit. Fixed manufacturing overhead per unit $ Total manufacturing costs per unit 2.25 2.25 15.00 gir be Print Done uts